Will banning salary-history questions really make workplaces more equitable?

Starting Oct. 31, all New York City employers regardless of size will be banned from asking prospective employees about their salary history. Mayor Bill de Blasio signed the law this year as a way to address pay inequities between men and women.

Census data show that men in New York City earn more than women even when factoring for differences in education. Among full-time, year-round workers, men's median income was $50,195—$3,865 more than women's. The difference is even more skewed when comparing average wages: Men dominate executive positions in the high-pay industries of finance, insurance, real estate and tech.

I believe men and women in the same job should earn the same amount. Will not asking about salary history bridge the gap? Most employers already know what they are willing to pay. They offer the salary they think the position and the individual is worth—which remains an art and not a science. The law will help women who handicap themselves by honestly telling prospective employers how much they most recently made.

The law's biggest impact will be to set an expectation of fairness. That's no small accomplishment. The Harvey Weinstein scandal has shown that women have a ways to go in their quest for equal treatment in the workplace. Melissa DeRosa, the governor's secretary, has said sexism is "alive and well" in politics. Republican mayoral candidate Nicole Malliotakis, the subject of this week's cover story, has spent a career fighting powerful men.

Regardless of what the business community thinks of the law, employers must comply with it. The city's Human Rights Commission, which has been charged with enforcement, can fine companies up to $250,000 and award damages to victims. The agency will be responding mainly to complaints. Last year it received 883, about half of which were employment-related. Already most businesses are banned from doing credit checks on applicants and asking about their criminal history.

The chairwoman of the commission, Carmelyn Malalis, told Crain's during a visit to the newsroom last week that she's not out to punish. She is likely to first educate employers and have them post the law. Rather than levy a fine, she could require compliance training. Second-time offenders, though, won't be so lucky.

"If an employer does it again," Malalis said, "we know it's intentional, because they know the law."

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